SB 252 - Increase Colorado`s Rural Renewable Energy Standard to

SB 252 - Increase Colorado’s Rural Renewable Energy Standard to 25% by 2020
Sponsor(s): Senators Morse, Schwartz; Reps. Ferrandino, Duran
What SB 252 Does:
1. Increases the RES to 25% (from 10%) by 2020 for cooperative electric associations that
provide wholesale electricity in Colorado and large cooperative electric associations that
provide service to at least 100,000 meters. Retail costs are capped at a 2% increase for
the purposes of complying with the standard to enable appropriate investment without
adverse impact on customers.
2. Keeps in statute the 10% by 2020 RES for other electric cooperatives and municipally
owned utilities and the 30% by 2020 RES for Colorado’s investor-owned utilities (Xcel and
Black Hills).
3. Requires 1% of cooperatives’ retail sales to come from distributed generation.
4. Expands the definition of “eligible energy resources” to include coal mine methane and
synthetic gas produced by pyrolysis of municipal solid waste, so long as the Public Utilities
Commission (PUC) deems the projects greenhouse gas neutral.
5. Eliminates unnecessary “extra-credit” provisions for new electric generation resources built
in Colorado after January 1, 2015.
Good for our Environment:
● Protects Colorado land, air, and water: More renewable energy sources reduce
dangerous fossil fuel emissions from polluting our air, or contaminating our land and
water. That means healthier Coloradans and a stronger environment for future
generations.
● Voters support transitioning away from Coal: A majority of Coloradans support
moving towards renewable energy sources. In the 2012 State of the Rockies
Conservation in the West poll by Lori Weigel and Dave Metz, 71% of respondents agree
that we should replace coal with other energy sources like wind and solar.
● Combats Climate Change: With our fluctuating temperatures, increased deadly forest
fires, and lack of snowpack, SB 252 enables Colorado to do its part in combating climate
change. Moving to cleaner sources of energy helps address climate change, while
ensuring healthier air for our families.
Boosting Colorado’s Rural Economy:
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Rural job growth: Investments in renewables drive rural job growth. The renewable
industry has responded to the current RES with significant investments in electricity
generation projects and manufacturing facilities, employing nearly 10,000 Coloradans.
Tri-State’s three utility-scale renewable energy projects have been located in member
co-ops’ service territories.
Protects Consumers: Advancing clean renewable energy can reduce our reliance on
fossil fuels, and protect Coloradans by shielding them from future price spikes
associated with volatile fossil fuel costs. Renewable sources provide a consistent, low
cost, and reliable supply of energy to power Colorado into the future.
Feasibility: Colorado’s largest electricity providers can meet higher RES targets.
Colorado’s largest utility, Xcel Energy, has proven that 30% renewable energy
procurement is feasible and cost-effective and estimates that it is compliant with its RES
obligations through 2028. Tri-State’s RPS compliance report for 2011 (the most recent
year for which data is complete) indicates that all of its member co-ops are fully
compliant with their obligations-- it is time to do more.
Increasing Energy Security:
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Reduce costly new transmission: The requirement for renewable distributed
generation means that power is generated locally rather than from a faraway central
plant.
Save consumers money: Xcel Energy is one of the nation’s largest purchasers of wind,
going beyond the Colorado RES requirements due to the savings the company is
realizing from its wind investments. In a 2011 regulatory filing seeking commission
approval to acquire the Limon II wind project, Xcel testified: “We view this wind
project [Limon II] as providing substantial net savings to our company and our
customers as early as 2014.” (PUC Docket No. 11A-869E)
Conservation Colorado • Becky Long • [email protected] • (970) 389-2719